WeWork India seeks NCLT nod to offset accumulated losses
What's the story
WeWork India has filed an application with the National Company Law Tribunal (NCLT), Bengaluru Bench. The company is seeking approval for a proposed reduction of its share capital through the utilization of its Securities Premium Account. The move comes after approvals from the company's Board of Directors on July 16, 2026, and its members on August 25, 2026.
Financial strategy
Proposed reduction to fully offset accumulated losses
WeWork India intends to use ₹2,050.16 crore from its Securities Premium Account's ₹2,158.99 crore balance under the proposed reduction.
The amount will be used to fully offset accumulated losses of ₹2,050.16 crore as of March 31, 2026.
The company said that this move would remove the accumulated losses from its books and provide a true and fair view of its financial position.
Performance review
WeWork India's financial performance improved in FY27 Q1
The NCLT application comes after WeWork India posted a significant improvement in its financial performance for the first quarter of FY27.
The company's net loss narrowed to ₹4.3 crore from ₹14.1 crore in the same period last year, aided by increased demand for flexible workspaces.
Revenue jumped 27.7% year-on-year to ₹705 crore while EBITDA rose 30.4% to ₹438 crore, with an improved EBITDA margin of 64.04%.
Growth trajectory
Expansion of WeWork India's network and operational capacity
WeWork India expanded its network to 79 centers across eight cities, with 9.1 million square feet of operational space.
The company's total committed footprint was 12 million square feet, including signed leases and letters of intent.
In the quarter, WeWork India added around 7,000 desks, taking its operational capacity to 133,600 desks, an increase of 17.1% year-on-year.